Another price increase...

[Robc inWI]

Just announced by Karl and Samuel on YouTube. Looks to about 10% on the base price (not options) effective on any build dates after July 1 2022. That's 20% in less than a year. I'm still trying to process this, we've already cut a number of items from our build sheet based on the last price increase and delivery increase.

I guess we are fully committed with 7 months to our build date but this one hurts. Our property taxes just went up 30% too so kind of a double whammy.

[MVA]

Chris,

I could not find the video in youtube. Is that 20% base price increase across all trailer models? Did ETI comment on an increase in options?

[Sean2a]

Here’s the video https://youtu.be/4nvguVBe3K0

We may see record cancellations. That’s quite the jump. Going to be hard to stomach for a lot of folks.

[Chamberman]

Originally Posted by Sean2a

https://youtu.be/4nvguVBe3K0

We may see record cancellations. That’s quite the jump. Going to be hard to stomach for a lot of folks.

We've been on the waiting list for almost a year and we'll be cancelling this week.

[Chamberman]

Originally Posted by Robc inWI

Just announced by Karl and Samuel on YouTube. Looks to about 10% on the base price (not options) effective on any build dates after July 1 2022. That's 20% in less than a year. I'm still trying to process this, we've already cut a number of items from our build sheet based on the last price increase and delivery increase.

I guess we are fully committed with 7 months to our build date but this one hurts. Our property taxes just went up 30% too so kind of a double whammy.

We're 7 months to our build date too, but we're not that committed.

[MVA]

Originally Posted by Sean2a

Here’s the video https://youtu.be/4nvguVBe3K0

We may see record cancellations. That’s quite the jump. Going to be hard to stomach for a lot of folks.

thanks for the link

[Reimj]

Ouch. Our build date is October 2023, at this point I'm not all that confident that we will go through with the purchase. I have to assume there will be at least one more price increase before we can lock in, and that will likely put the price beyond what we are willing to pay.

[Eggscape]

Here are the base prices.

[Eggscape]

Just had to look back to see that the 2018 base price for a 19 was 31,500 Canadian and that included the power awning which was not an option.

Doing some weird thinking…todays price of the power awning is $1290. So if you want to compare the 2018 price to now you have to remove the cost of it for the trailers to be the same in my opinion.

This would make the 2018 base price of $30,210 with the same base options that are offered today.

That would be a difference of $9,970 not including all the price increases of the options which in most cases is significant.

Then there is the extra tax on all of that.

[Centex]

It's very hard to run the clock back and imagine how the reality of this would have affected my Escape opportunity.

But it's easy to understand that for some the bottom line dollars mean they are 'priced out' of the opportunity, all other things notwithstanding.

Shattered dreams are always a sad situation, empathy can be (and is) offered but there's no solace for anyone in that unfortunately.

[MichaelS78]

When I discovered Escape I was enticed by the value of the trailer compared to other fiberglass trailer manufacturers. It seems ETI is aware of this and they're actively closing the gap. It's a business and I get it. What I don't get is why they're now doing twice yearly price increases? How long before they're doing three a year? If I hadn't just recently signed off on our build sheet I would definitely cancel the order. Just feels wrong to support companies that treat their customers like this. I was very close to canceling when they started charging 2021 customers the 2022 prices before the year was over. But I gave them the benefit of the doubt that they were doing their best. I no longer feel that way. Too many examples of taking advantage of their customers. Just look at the fact that you cannot search and find this video they sent out. Even as a subscriber to their YouTube videos it is not possible to search and find. You have to have the link emailed out deposit customers. (posted above). Why are they hiding this info from those who haven't put a deposit in yet and are just researching the product? I also was turned off by the cheery demeanor of this video. Do they not realize how heartbreaking this is for a lot of people?

I am locked in now that I've signed my build sheet and trailer has started production. But I will have a very difficult time recommending an Escape to anyone. I just can't in good faith do that when they will most likely get taken for a ride with the pricing. Hope Karl course corrects quickly on this. At least empathize with your customers more.

[Doug2000]

They're raising the price twice a year because there is a 2 year wait. They're raising the price because they can. Unfortunately down the road they'll have to offer incentives and sales to keep the doors open. In the not to distant future all the covid trailers that were recently sold will hit the market and all the prices will come down.

I paid $32k when we ordered ours in 2019, I wouldn't have gone higher than that, I only use it twice a year. At $35k, I would have just bought a used Cougar or MiniWinnie.

[Sean2a]

Originally Posted by Centex

It's very hard to run the clock back and imagine how the reality of this would have affected my Escape opportunity.

Those numbers you posted with percentage increase really put it into perspective.

They are claiming supply chain issues which we have to take their word for but I am wondering what the other fiberglass manufacturers have had as far as price increases- Casita, scamp? I’m wondering if this is all tied up in their hugely disadvantageous northwest / across the border location, given the shortage of trucks and drivers seemingly more impacted out there.

Shoot it may be cheaper to get an Oliver by the time configuration happens for some!

[WillyB]

We still have a few months before we have to sign off on a build sheet and the unit itself appears to be the only thing that has increased. $3,000 USD on a 21C. The option pricing, so far, appears not to be impacted. We'll see what changes between now and then.

What is the Over/Under on the number of cancellations?

[JeffreyG]

Originally Posted by WillyB

What is the Over/Under on the number of cancellations?

Well, clearly ETI is taking the under.

This dynamic is happening everywhere. CEO's are saying "supply chain issues" as they raise prices, and then saying "Record revenue and profits" when they make shareholder reports. Here's a hint, supply chain issues are real and are also a wonderful excuse for raising prices.

As the great Yogi Berra once said "Nobody goes there, it's too crowded." As long as ETI is sitting on a two year wait list, don't expect pricing to soften or even slow the ascent. Prices are up because demand is up, period.

[Chamberman]

Originally Posted by JeffreyG

Well, clearly ETI is taking the under.

This dynamic is happening everywhere. CEO's are saying "supply chain issues" as they raise prices, and then saying "Record revenue and profits" when they make shareholder reports. Here's a hint, supply chain issues are real and are also a wonderful excuse for raising prices.

As the great Yogi Berra once said "Nobody goes there, it's too crowded." As long as ETI is sitting on a two year wait list, don't expect pricing to soften or even slow the ascent. Prices are up because demand is up, period.

Many companies are certainly exploiting the opportunity aspect of the current economic situation. I believe that Escape is one of those actively doing so as well. If they weren't then I see no reason that they couldn't stagger their increase to be a bit more fair to those people closer in on completion date. This sudden shift in pricing for those that haven't submitted their build sheets to "price in changes for the remainder of the year" doesn't take care of those who've been on the list for a long period of time.

Does anyone actually believe that ETI is breaking even or losing money on the trailers that signed off on their build sheets last week versus next week? No... Is their profit margin reduced on those trailers built next quarter versus those built last quarter at current prices, absolutely, well not now that the prices have jumped. If ETI was trying to be on the up-and-up about this pricing increase and present a compassionate stance to those customers closer to their build date then ETI would institute a smaller staggered pricing increase based on quarter for the remainder of the year. The current planned increase is a profit grab plain and simple.

And don't forget that in the video Karl has already set the stage for another pricing increase very soon. He'll gauge the amount of customers lost and then decide whether it makes sense to institute another one.

I felt similarly bad about the customers that ETI moved forward into 2021 but were given 2022 pricing. I wasn't eligible for that program but I thought it was particularly poor business to not offer those customers a discount over the full 2022 pricing. Even if it was only $500 - $1000 off it would've at least accounted for the fact that these folks moved forward and took delivery in 2021 and in the off season. Once again I think ETI took advantage of that situation.

One other thing in the video that I have to mention. Anyone else get irritated by the almost jovial nature of the announcement? There's an awful lot of "chuckling" about what is a serious subject for many. I would've expected a bit more serious if not apologetic tone about the sudden increase and how this deviates from what ETI likes to do.

[Fender]

A modestly equipped E19 (no solar or lithium) with taxes and shipped to the East Coast is $65,000 CAN.

[JeffreyG]

Originally Posted by Chamberman

I see no reason that they couldn't stagger their increase to be a bit more fair to those people closer in on completion date.

Yeah, I feel like Karl's view of being on the waitlist is different from the view of most people on that list. Karl sees it as, pay a deposit for the chance to order a trailer. But most people on the list see themselves as signing up to buy the trailer pretty much based on what's available and prices they see at the time they make the deposit.

I agree that taking deposits, and then subjecting people on the list to multiple price increases while they are waiting is not generating goodwill.

It does seem to be the norm however. Look at Ford with the long waitlists for the Bronco. Units finally started shipping and people holding reservations were met with MSRP + $10,000 in 'market pricing' if they actually wanted to take delivery.

The economy is on fire right now, and a lot of companies are making hay while the sun is shining. And a lot of companies are crossing over into generating a lot of ill will while doing it.

[Dave Walter]

I do empathize with those being hit by these latest price hikes on the new Escape trailers. On the bright side, the resale values of my 2013 Escape 19' and 2013 Escape 15B have once again increased.

[Sean2a]

Originally Posted by JeffreyG

Yeah, I feel like Karl's view of being on the waitlist is different from the view of most people on that list. Karl sees it as, pay a deposit for the chance to order a trailer. But most people on the list see themselves as signing up to buy the trailer pretty much based on what's available and prices they see at the time they make the deposit.

Yeah, I definitely was expecting my deposit to not only lock in my build date but also my pricing. Dont think possibilty of price increases was abundantly clear. But if I'm honest, I guess I'm more used to vehicles where it is pretty much locked in when you order it. But then again, that would be equivalent to the congiration stage where it is really locked in, even for ETI. This super long waitlist concept is not common in most industries but I understand the need to be flexible given how much can change in 18 months. Still, I wish there was an option to lock in the price earlier. I would have put down a bigger deposit if it meant locking it in. Do they even let people lock in their options more than 6 months out?

Originally Posted by Chamberman

One other thing in the video that I have to mention. Anyone else get irritated by the almost jovial nature of the announcement? There's an awful lot of "chuckling" about what is a serious subject for many. I would've expected a bit more serious if not apologetic tone about the sudden increase and how this deviates from what ETI likes to do.

I also noticed this and was wondering about it. Their tone in the delivery increase was much more sullen and not only did that affect less people but for those it did affect at the high end, it was still a good deal less than these increases. Its possible he's becoming a bit numb to it now. Akin to how first responders or healthcare workers may be with death. I can imagine actually feeling the emotional side of this every time can wear you out emotionally and make it hard to leave work at work. But, at least when that cameras rolling he'd be wise to present in a more simpathetic light.